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www.Apushreview.com. American History: Chapter 17 Review Video. Industrial Supremacy. Henry Bessemer and William Kelly: Bessemer Process – converted iron into much stronger steel Steel used in RRs, construction, etc. Steel industry booms in Ohio and PA Abundance of iron ore
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www.Apushreview.com American History: Chapter 17 Review Video Industrial Supremacy
Henry Bessemer and William Kelly: • Bessemer Process – converted iron into much stronger steel • Steel used in RRs, construction, etc. • Steel industry booms in Ohio and PA • Abundance of iron ore • Oil – Drake’s Folly - PA • Originally used in lamps • Henry Ford: • Made cars affordable – moving assembly line • Raised wages for his workers • Wright brothers – from OH • First in flight • Lindberg’s flight in the 1920s boomed industry Sources of Industrial Growth
***Taylorism*** - Frederick Taylor • Subdivided tasks, each individual had a specific task • Made workers interchangeable, less reliance on skilled workers • RR expansion affected other industries • Lumber industry cut down forests, • Chicago became main hub - slaughterhouse • Time zones Sources of Industrial Growth
Corporations: • Group of stockholders own a business • Limited liability: • Owners can only lose value of stock if company goes bankrupt • Carnegie: • Steel – Pittsburgh • Owned all aspects of steel production • ***Horizontal Integration*** • Buying businesses in a similar industry • Later deemed illegal - monopolies • Ex. – Standard Oil • ***Vertical Integration*** • Owning all aspects of production • Ex. – Carnegie Steel Sources of Industrial Growth
Pool arrangements: • Businesses agreed to divide up markets amongst themselves – later illegal • Trusts: • Originally had a different meaning, later associated with monopolies • “Holding Companies”: • Would buy up stocks in other companies, thus gaining more power Sources of Industrial Growth
Most millionaires were not self-made • Tycoons had tremendous influence: • Financial contributions to politicians and parties • “What do I care about the law? H’aint I got the power?” • Social Darwinism: • Applied Darwin’s ideas to Humans • Herbert Spencer • Advocated that the fittest survived • Appealed to business owners – justified their wealth • ***Gospel of Wealth*** • Written by Carnegie • Wealthy should donate money for the community Capitalism and its Critics
Horatio Alger: • Wrote “rags to riches” stories • James Garfield • Sold 100 million copies; • Henry George – Progress and Poverty • Blamed monopolies for social problems • Edward Bellamy’s Looking Backward • A man awakes in 2000 in a utopian society – no want, politics and vice • RRs came under attack from many groups • Charged high rates – especially for farmers Capitalism and its Critics
Individuals moved from rural to urban areas • Hoped for new economic and social opportunities • Immigrants moved to cities • 25 million new immigrants between 1865 and 1915: • ***New Immigrants were from Southern and Eastern Europe*** • Italians, Poles, Russians, Greeks, etc. • Labor Contract Law: • Allowed employers to recruit laborers by paying for their passage Industrial Workers in the New Economy
Working conditions: • Long days – 10-12 hours • Machines replaced some skilled workers • Factories hired more women and children • Cheaper pay for unskilled work • Textile industry had largest number of women Industrial Workers in the New Economy
Unions (KNOW THIS SLIDE!!) • When in doubt, the government(s) and public will side with owners, not unions • National Labor Union (1866): • Excluded women workers, feared that it would lower wages • “Molly Maguires” • Labor organization in PA – used violence • Great RR Strike: • RRs cut pay by 10%, Hayes ordered troops to stop the strike Industrial Workers in the New Economy
Still Know This Slide! • Knights of Labor: • All workers – men, women, African Americans • Skilled and unskilled • Membership grew under Terence Powderly • Hurt by the Haymarket Square Riot • AFL • Samuel Gompers • Only accepted SKILLED workers • Advocated women should remain in the home • Focused on “bread and butter issues” • Collective bargaining, rarely used strikes Industrial Workers in the New Economy
Still Know This Slide! • The Homestead Strike: • Carnegie and Henry Clay Frick wanted to break the union at Homestead • The plant was shut down, Pinktertons were called in, after fighting, Pinkertons left • Governor of PA broke up strike with National Guard • Pullman Strike (1894): • Pullman Palace Car Company cut wages, did not cut rent in towns • American Railway Union – Eugene V. Debs went on strike • President Cleveland sent troops to end strike Industrial Workers in the New Economy
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